Joseph E. Gilliam
GLAUKOSAbout Joseph E. Gilliam
Joseph E. Gilliam, 49, is President & Chief Operating Officer of Glaukos, serving in this role since April 2022 after five years as CFO and SVP, Corporate Development (May 2017–Apr 2022). He previously spent 2000–2017 at JPMorgan (Managing Director, Healthcare Investment Banking 2013–2017) where he led Glaukos’ IPO, and began his career at PwC; he holds a B.S. in accounting from Indiana University’s Kelley School of Business and serves on the board of Caris Life Sciences (Audit and Compensation committees) . Company net sales grew 11% in 2023 ($314.7M) and 22% in 2024 ($383.5M), with NEO bonus plans paying 172.1% and 152.9% of target respectively, reflecting execution on commercialization and pipeline milestones .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Glaukos Corporation | CFO & SVP, Corporate Development | 2017–2022 | Led finance, corp dev, IR, IT, regulatory, internal audit, quality franchises; helped position company for commercialization |
| JPMorgan Chase & Co. | Managing Director, Healthcare Investment Banking | 2013–2017 | Led Glaukos’ IPO for JPMorgan; extensive M&A, equity/bond financing execution |
| JPMorgan/Beacon Group/Chase Manhattan | Investment banking roles (increasing responsibility) | 2000–2013 | Broad transaction experience across M&A, bank lending, ECM/DCM |
| PricewaterhouseCoopers LLP | Associate | Early career | Foundation in accounting and audit |
External Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Caris Life Sciences | Director; Audit & Compensation Committees | Current | Governance and oversight at precision oncology firm |
Fixed Compensation
| Metric | 2023 | 2024 |
|---|---|---|
| Base Salary ($) | $530,250 | $557,000 |
| Target Bonus (% of Salary) | 70% | 70% |
| Target Bonus ($) | $371,175 | $389,900 |
| Actual Bonus Paid ($) | $638,921 (paid in cash) | $596,299 (paid in cash) |
Performance Compensation
Annual Bonus Design, Weights, Targets and Outcomes
| Metric | Weight | Target | Actual | Payout (% of target) | Year |
|---|---|---|---|---|---|
| Net Sales ($MM) | 50% | $364.2 | $383.5 | 205.9% | 2024 |
| Adjusted OpEx vs Budget | 10% (other NEOs); 20% CEO | $401.4MM budget | $395.1MM | 100% | 2024 |
| NXL System Prototype | 5% (other NEOs); 10% CEO | Complete | Achieved | 100% | 2024 |
| Start iDose TREX Ph2b/3 | 5% (other NEOs); 10% CEO | Commence by YE | Achieved | 100% | 2024 |
| ESG Goals Achieved | 5% (other NEOs); 10% CEO | ≥12 goals | Achieved | 100% | 2024 |
| Individual Objectives | 25% (other NEOs) | 100% achievement | Achieved | 100% | 2024 |
| Total Bonus Achievement | — | — | — | 152.9% | 2024 |
| Metric | Weight | Target | Actual | Payout (% of target) | Year |
|---|---|---|---|---|---|
| Net Sales ($MM) | 50% | $293.4 | $314.7 | 245.3% | 2023 |
| Adjusted OpEx vs Budget | 10% (other NEOs); 20% CEO | $351.2MM budget | $360.0MM | 95% | 2023 |
| FDA PAI Audit (iDose TR) | 5% (other NEOs); 10% CEO | Pass PAI | Achieved | 100% | 2023 |
| iDose TRIO PoC | 5% (other NEOs); 10% CEO | Demonstrate PoC | Achieved | 100% | 2023 |
| ESG Goals Achieved | 5% (other NEOs); 10% CEO | ≥7 of 12 goals | Achieved | 100% | 2023 |
| Individual Objectives | 25% (other NEOs) | 100% achievement | Achieved | 100% | 2023 |
| Total Bonus Achievement | — | — | — | 172.1% | 2023 |
Long-Term Equity Grants and Vesting
| Grant Component | 2023 Quantity | 2023 Grant Value ($) | 2024 Quantity | 2024 Grant Value ($) | Vesting / Performance Conditions |
|---|---|---|---|---|---|
| Time-based RSUs | 20,636 | $1,000,021 | 8,743 | $1,500,000 (time-based equity total; split RSUs/options) | 25% per year over 4 years |
| Time-based Options | 36,751 | $999,995 | 15,353 | Part of $750,000 time-based options | 25% at 1-year; remaining monthly over next 36 months |
| Performance Options/RSUs | Perf Options: 36,751 | $999,995 | PRSUs: 17,487 | $1,500,000 | 2023 awards: 5-year multi-approval scorecard (minimum 3-year before any vesting); 0–200% payout ; 2024 awards: iDose TR revenue goals 2024–2026; 0–250% possible; annual earning caps; vest upon Committee certification |
| Promotion Grants (2022) | Perf Options: 49,397 (max) | — | — | — | vest upon pre-determined financial goals; first 3 years adj. for underachievement only |
Note: 2024 PRSUs are earned on iDose TR net revenue over 2024–2026, with up to one-third of target vestable each year and above-target only after the 3-year period .
Bonus Equity Elections
| Year | Elected Form | Target Equity Granted | Notes |
|---|---|---|---|
| 2024 | 100% cash | — | CEO/CFO elected RSUs; Gilliam elected cash |
| 2023 | 100% cash | — | CEO elected options, CFO 50% options; Gilliam elected cash |
Equity Ownership & Alignment
| Ownership Measure | Latest | Prior Year |
|---|---|---|
| Total Beneficial Ownership (shares) | 163,329 (as of Apr 4, 2025) | 189,321 (as of Apr 5, 2024) |
| Options Exercisable or Exercisable within 60 days | 114,224 | 163,895 |
| RSUs Vesting within 60 days | 1,944 | — |
| Shares Outstanding (for % calc) | 57,086,023 (Apr 4, 2025) | 50,188,369 (Apr 5, 2024) |
| Ownership % of Outstanding | ~0.29% (163,329 / 57,086,023) | ~0.38% (189,321 / 50,188,369) |
- Stock ownership guidelines: 3× base salary for NEOs; all NEOs were in compliance as of Jan 1, 2025 .
- Hedging/pledging: Company policy prohibits short sales, pledging, margin accounts, and hedging transactions by insiders (directors, officers, employees, and controlled entities) .
- Option exercise and vesting activity (signals on potential selling pressure): In 2024 Gilliam exercised 263,073 options (value realized $14,632,539) and had 22,373 shares vest (value realized $2,089,514) ; in 2023 exercised 97,500 options (value realized $4,008,228) and 18,789 shares vested (value realized $963,855) .
Employment Terms
| Provision | Detail |
|---|---|
| Role start date | President & COO since Apr 2022; CFO/SVP from May 2017 to Apr 2022 |
| Severance (no CIC) | 12 months base salary lump sum; 12 months medical/dental; vest equity that would vest in the 12 months following termination; subject to release |
| Change-in-control (double trigger) | 18 months base salary + 1.5× target annual bonus (lump sum); 18 months medical/dental; full vesting of all outstanding equity; subject to release |
| Definitions | “Cause” and “Good Reason” detailed (material diminution, pay reduction, relocation >50 miles; notice and cure) |
| Tax gross-ups | None; 280G cutback applied if optimal after-tax |
| Clawback | SEC/NYSE-compliant recoupment policy adopted in 2023 for restatement-triggered recovery over prior 3 fiscal years |
| Hedging/Pledging | Prohibited per insider trading policy |
Performance & Track Record
- Net sales grew 11% in 2023 ($314.7M) and 22% in 2024 ($383.5M), driven by U.S. and international glaucoma franchises and corneal health, with iDose TR commercial launch and iStent infinite rollout noted .
- Bonus scorecards tied to financials (net sales, OpEx), pipeline progress (iDose TREX Ph2b/3), and ESG goals; Gilliam’s individual objectives included U.S./international revenue delivery, corneal health reimbursement initiatives, iDose TR launch execution, IG plan development, and scaling international MIGS .
- Say-on-pay support was strong: 91% (2023) and 95% (2024) approval, following shareholder engagement and tighter performance equity designs .
Compensation Peer Group & Equity Plan Governance
- Peer groups: 2024 peer set included 17 life sciences firms (Apellis, Haemonetics, Insmed, STAAR Surgical, etc.) targeting market caps $1–$10B; 2025 peer set expanded to 21 companies ($2–$15B) reflecting growth and pharma emphasis (Ionis, Natera, TransMedics, BridgeBio, Exact Sciences, etc.) .
- Positioning: Committee references peer medians; increased performance equity proportion for NEOs to 50% in 2024 .
- Equity plan changes (2024): Share reserve reduced to 4.7M and evergreen eliminated; repricing prohibited; director annual comp caps added; clawback affirmed .
Risk Indicators & Red Flags
- No hedging/pledging; strong clawback and double-trigger CIC protections .
- Option repricing disallowed; compensation plan emphasizes multi-year performance equity and caps on bonus payouts .
- Related party transactions not implicated for Gilliam; Company disclosed CEO family employment items only .
Investment Implications
- Pay-for-performance alignment appears robust: Gilliam’s compensation is heavily variable with multi-year PRSUs tied to iDose TR revenue and regulatory milestones and annual bonuses linked to sales and disciplined OpEx, aligning with commercialization objectives .
- Insider activity indicates ongoing monetization of awards through significant option exercises and vesting in 2023–2024; while not necessarily open-market sales, this can create supply from option exercise-related dispositions; monitor any Form 4s and 10b5-1 plans for selling pressure .
- Retention protections (12–18 months base, 1.5× bonus in CIC, equity acceleration) reduce departure risk, but significant performance equity exposure keeps incentives focused on executing iDose TR ramp and pipeline milestones .
- Strong shareholder support (95% Say-on-Pay in 2024) and governance upgrades (reduced share pool, evergreen removal) lower dilution risk and signal responsiveness to investor feedback .